How To Detect An Insurance Scam And Fraudulent Broker

Your insurance is expensive, spend your money wisely with a good broker

If you are a business owner in the Ontario area, there is a good chance you are spending hundreds of dollars each month on costly insurance. This coverage is a necessity to make sure you and your business, customers, and employees are properly insured. You may have also put in a good amount of time researching and studying different brokers, before you chose your current provider. However, this does not necessarily mean your insurer is acting with your best interests in mind. Canadian Insurance companies owe it to their policyholders to act in good faith, when it comes to handling claims in a timely and reasonable manner. Whatever this situation is you are spending good money on coverage and you should be treated fairly and with the utmost respect. 

Delayed Investigation

Anytime there is a claim filed in Canada, the commercial liability insurance company is required to send out a shady and not trust worthy insurance brokerrepresentative to investigate. This will determine if the police will cover the claim and how much of the claim it is going to cover. This process should be handled in a quick, timely, and professional manner. If you start to notice that your provider is procrastinating or keep delaying the process there is a good chance that you are dealing with a company that is acting in bad faith. This will not only cost you money in the long run, but it could potentially bring your business to a grinding halt, depending of the type of claim that you are filing.

Unreasonable Requests Of Proof And Documentation

After filing a claim it is highly possible that any insurance broker will ask for certain proof and documentation regarding the incident. However, there are a lot of insurers out there that will attempt to delay paying the claim, by making unreasonable requests for documentation. If you notice that your provider keeps calling your office and asking for more and more documentation, this is a pretty good indication that they are trying to get out of paying the claim.

Quick Settlements

Of course, every business owner wants their claims settled as quickly as possible, so they can get on with their daily business operations. However, anytime an insurer makes a settlement claim right away, this could be a very good indication that you are not getting everything owed to you. The situation needs to be thoroughly evaluated and accessed before a true number can be issued. Providers do this, because they know you want to get the situation over as quickly as possible. If they can get you to agree to a cheaper claim it will save them a bundle of money in the long run.

To avoid an incident like this it is always a good idea not to sign any documentation from your insurer until you speak with a skilled attorney. In fact, the attorney will handle the process for you, while you focus on getting your business operations back on track.

Bullying And Aggressive Tactics

After attempts of delaying the claims process and trying to get you to accept lower payments, it is possible that your insurer might try to force you into accepting a certain offer. If the agent tells you that what you are being offered is the best that you are going to get, or your policy does not cover this incident, there is a good chance that they are trying to swindle you. The best thing you can do in a situation like this is to seek out legal representation. Leave it in your attorney’s hands, so you are ensured you are going to be treated fairly.

Making Unfounded Changes To Your Policies

Anytime you are dealing with an insurance company, it is imperative that you keep all your

fraud policy changes by broker

Review your policy every year. Some fraud brokers can make changes to your coverages without you knowing!

signed documentation and bills on hand and where they can be located easily. Some companies have even gone as far as changing their customers’ polices, in an attempt to avoid paying the claim. As long as you have all the signed documentation that shows what polices you are and are not paying for, you should be covered in a situation like this. If you show the agent proof of your coverage and they still do not listen, just hire an attorney. Insurers will do whatever is necessary to avoid a lawsuit.

Poor Communication

After filing a claim your provider should be in constant contact with you and your office. They should be focused on getting the claim resolved in an expedient manner. If you notice your insurer is not returning your calls, answering your e-mails, or just avoiding you altogether, there is a good chance they are trying to avoid settling the claim.

A reputable insurer will immediately initiate an investigation into a claim as soon as it is submitted. They will do whatever is necessary to ensure their client’s best interest and make sure the process is completed in a thorough and timely manner.

 

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